Business

AstraZeneca, Shire Dive as U.S. Tax Move Punctures Deal Hopes

AstraZeneca (AP file)
AstraZeneca (AP file)

 

(Reuters) – Shares in drugmakers AstraZeneca (AZN.L) and Shire (SHP.L) fell sharply on Tuesday after the U.S. Treasury took steps to curb “inversion” deals that allow companies to escape high U.S. taxes by reincorporating abroad.

The move could jeopardize an agreed deal for AbbVie (ABBV.N) to buy Shire for $55 billion and deter Pfizer (PFE.N) from making another attempt to acquire AstraZeneca, after a $118 billion takeover attempt failed in May.

The slide in both companies shares wiped out around $8 billion in their combined market value, with AstraZeneca down 5.0 percent and Shire losing 6.1 percent by 1115 GMT (7.15 a.m. EDT). AbbVie lost 4.6 percent in pre-market U.S. dealings.

Smith & Nephew (SN.L) and Swiss biotech group Actelion (ATLN.VX), two other perennial targets of bid speculation, fell 3.5 percent and 2.2 percent respectively.

READ MORE

Tags
Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *


By submitting this form, you are consenting to receive marketing emails from: Washington Informer Newspaper, 3117 Martin Luther King Jr. Ave SE, Washington, DC, 20032, http://www.washingtoninformer.com. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Back to top button

My News Matters to me - Washington Informer Donations

Be a Part of The Washington Informer Legacy

A donation of your choice empowers our journalists to continue the work to better inform, educate and empower you through technology and resources that you use.

Click Here Today to Support Black Press and be a part of the Legacy!

Subscribe today for free and be the first to have news and information delivered directly to your inbox.


By submitting this form, you are consenting to receive marketing emails from: Washington Informer Newspaper, 3117 Martin Luther King Jr. Ave SE, Washington, DC, 20032, http://www.washingtoninformer.com. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact
Close

Adblock Detected

Please consider supporting us by disabling your ad blocker